The Credit Card House: The Power of Your Local REIA

[Matt Moger]

This is an exciting story about a wholesale deal!

I received a lead from a bandit sign (I know! I'm terrible) Regardless, that's where it came from. The seller was deeded the property by her great grandfather & the house was in an absolute doo doo part of town. Knowing this, I had very low expectations.

This was a 2 bed 1 bath brick home in a less than desirable area in Winston-Salem, NC (East Side, if you know the area) I believe she wanted $15,000. After visiting the home & gently pointing out a few structural issues, I offered her $5,000. She balked, but was very adamant that she wanted this thing gone in two weeks.

We settled on $6,000. Title search came back clean & we proceeded. My exit strategy was to wholesale for a few thousand. I actually used one of those balance transfer checks at 0% from one of my credit cards to purchase the home.

Here is where the REIA comes in. A Hispanic gentleman came to our local lunch meeting one time only & mentioned that he was looking to help folks connect buyers within the Hispanic community & that happens to be niche that I'm in. We connected & exchanged cards & he asked me to send him properties that I was working on.

The following week, I closed on a Wednesday. My new friend from the REIA meeting had a buyer for me, we sold it to them for $10,000 2 days later on a Friday. I gave my new friend a very nice referral fee & I made a few thousand dollars in a couple days.

All that to say, if I weren't active in my local REIA, I could have sat on a dumpy house that had already been broken into multiple times much longer than I would have liked to :)